From there you can ascertain what would be a suitable price range to focus on, and also what down payment will be necessary. 

A 2nd home is defined by Fannie Mae as a home that:cannot be subject to any agreements that give a management firm control over theoccupancy of the propertymust be occupied by the borrower for some portion of the yearis restricted to one-unit dwellingsmust be suitable for year-round occupancythe borrower must have exclusive control over the propertymust not be rental property or a timeshare arrangementIf the lender identifies rental income from the property, the loan is eligible for delivery as a second home as long as the income is not used for qualifying purposes, and all other requirements for second homes are met (including the occupancy requirement above).That is verbatum the guide wording on a 2nd home.  

Part of this is not only identifying who is an accredited investor but also the regs go a step further and are wanting a relationship w/that investor to be established and some determination of suitability.  

In those instances we were buying properties that were not basket cases, where the business produced suitable cash-flow, and we could continue to operate without emptying much of the property for an immediately needed renovation.  

If you would like to get more information about the type of buildings suitable for the kind of investment you are intending, send me private message.

Seller may not be aware of … Property improvements may not be built according to code, in compliance with current Law, or have had permits issued.BIA – Section 3: YOU ARE STRONGLY ADVISED TO INVESTIGATE THE CONDITION AND SUITABILITY OF ALL ASPECTS OF THE PROPERTY…SBSA – BUILDING PERMITS, ZONING AND CODE COMPLIANCE: Buyer and Seller are advised that any structure on the Property… may have been built without permits, not according to building codes, or in violation of zoning laws…Because of all these disclosures, it would be challenging to win in court.

Also, I believe  a lot of lenders would be ok on an extension if the sellers were waiting for suitable housing, job prevented move in for a limited time but you plan to do so, etc. and you have a written statement. 

HiMake sure that you walk thru every unit, as the one or two that you don't get into, (they may have" lost" the keys) may have a hoarder tenant (which can be very costly to fix) or a utility apartment that contains construction materials and is not suitable to rent.

Some of the lakes in Arkansas aren’t suitable for vacationing, no matter what you build.

You’ll need a business license (and pay taxes) to get a rental suitability license, which basically says the house is habitable, has smoke detectors, etc. in certain cases they can/do inspect, but it’s not common from what I understand.